HMS (NASDAQ:HMSY)‘s stock had its “hold” rating reiterated by investment analysts at Cantor Fitzgerald in a report released on Friday. They currently have a $17.00 price objective on the business services provider’s stock. Cantor Fitzgerald’s price objective points to a potential upside of 4.81% from the company’s current price.
The analysts wrote, “Solid 4Q17 results. On February 23, HMSY reported solid 4Q17 results. Revenue of $148.5 million came in ahead of FactSet consensus of $136.8 million and our estimate of $139.6 million. Revenue growth was broad-based, with double digit growth in both COB and PI. Following a timing related decline in 3Q17, COB revenue of $105.7 million grew 17.4% q/q. About $6-$8 million of COB revenue is attributable to 3Q17. PI revenue of $26.8 million grew 12.2% q/ q and benefited from the implementation of enhanced analytics. PI performance seems to be improving. Eliza revenue of $12.9 million grew 30% q/q as Eliza’s revenue tends to be back-end loaded, with 3Q and 4Q being the strongest. As year end approaches, clients seek to maximize Medicare Star ratings and HEDIS measures. Management expects Eliza to contribute meaningfully to revenue growth in 2018. Adjusted EPS of $0.49 included a $0.25 non-cash tax benefit.””
A number of other brokerages have also recently issued reports on HMSY. Canaccord Genuity restated a “buy” rating and set a $22.00 target price on shares of HMS in a research report on Monday, October 30th. Zacks Investment Research upgraded shares of HMS from a “sell” rating to a “hold” rating in a research report on Friday, January 5th. BidaskClub cut shares of HMS from a “hold” rating to a “sell” rating in a research report on Saturday, January 20th. Citigroup assumed coverage on shares of HMS in a research report on Thursday, January 4th. They set a “neutral” rating for the company. Finally, Wells Fargo & Co restated an “outperform” rating and set a $20.00 target price (down previously from $25.50) on shares of HMS in a research report on Wednesday, November 29th. Two equities research analysts have rated the stock with a sell rating, four have given a hold rating, four have assigned a buy rating and two have issued a strong buy rating to the company’s stock. The stock currently has an average rating of “Buy” and a consensus target price of $20.50.
Shares of HMS (NASDAQ:HMSY) opened at $16.22 on Friday. HMS has a 52 week low of $11.01 and a 52 week high of $20.90. The company has a market cap of $1,363.84, a PE ratio of 33.10, a P/E/G ratio of 2.38 and a beta of 0.84.
HMS (NASDAQ:HMSY) last announced its quarterly earnings data on Friday, February 23rd. The business services provider reported $0.15 EPS for the quarter, missing the Thomson Reuters’ consensus estimate of $0.22 by ($0.07). HMS had a net margin of 4.94% and a return on equity of 7.93%. The company had revenue of $148.49 million during the quarter, compared to analyst estimates of $136.77 million. During the same quarter last year, the business earned $0.20 EPS. The firm’s revenue for the quarter was up 18.2% on a year-over-year basis. research analysts expect that HMS will post 0.62 earnings per share for the current fiscal year.
HMS declared that its board has authorized a share repurchase plan on Friday, November 3rd that permits the company to repurchase $50.00 million in shares. This repurchase authorization permits the business services provider to reacquire shares of its stock through open market purchases. Shares repurchase plans are usually an indication that the company’s board of directors believes its stock is undervalued.
Several large investors have recently bought and sold shares of HMSY. Bank of New York Mellon Corp raised its position in shares of HMS by 75.0% in the fourth quarter. Bank of New York Mellon Corp now owns 3,016,623 shares of the business services provider’s stock valued at $51,132,000 after buying an additional 1,292,855 shares during the last quarter. Kornitzer Capital Management Inc. KS acquired a new position in shares of HMS in the third quarter valued at approximately $8,673,000. Millennium Management LLC acquired a new position in shares of HMS in the fourth quarter valued at approximately $5,779,000. BlackRock Inc. raised its position in shares of HMS by 3.0% in the fourth quarter. BlackRock Inc. now owns 10,812,870 shares of the business services provider’s stock valued at $183,279,000 after buying an additional 316,963 shares during the last quarter. Finally, HCSF Management LLC acquired a new position in shares of HMS in the fourth quarter valued at approximately $5,085,000. 96.62% of the stock is owned by institutional investors and hedge funds.
HMS Holdings Corp. is a holding company. The Company, through its subsidiaries, operates in the United States healthcare insurance benefit cost containment marketplace. It provides coordination of benefits services to government, and private healthcare payers and sponsors. Its payment integrity services ensure that healthcare claims billed are accurate and appropriate.
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